Litentry: DID Aggregator,
If you want techincals its in the section below.
Ive been eyeing up litentry ($LIT) for the last month or two; it’s an innovative project backed with a strong team, solid fundamentals, and a realistic use case (if executed properly). For the time being, it is a speculative investment, given that the core product has yet to be launched and utilized by the general public. Feel free to jump into any section, perhaps this rant isn’t worth the time. Nonetheless, ill briefly explain the purpose of the project:
What does it do? (Fundamentals)
Litentry aims to aggregate data to identify unique users within multiple blockchains (read; interoperability) and facilitate multiple functions/features that previously were difficult to achieve in DApps. For example, suppose litentry manages to create unique IDs for people like you and I, and with these newly established blockchain identities we can undertake a new set of actions. A list of the common hypothetical actions include.
*Personal Credit Scores: In the "real world", individuals acquire loans and credit through a system of scores and ratings (FICO, AAA, BB-). These scores are assigned by credit institutions like moodys, equifax, and fitch which ultimately designate your credit worthiness (how much you can borrow and/or at what interest rate). The system is based mostly on historical data; if you default on debt a lot, you lose the privilage of credit, but if you pay promptly youre allowed a bigger loan and/or at a lower interest rate. On the other hand, the "DeFI world" attempts to offer banking services to everyone, without exlclusivity, bias, or censorship, and right now, its limited by its collateralization ratios and requirements. If youre a small business owner in Nigeria and would like to expand you inventory by 10,000 USD via a personal/business credit utilizing the current DeFi services you would at least need to collateralize this loan with 20,000-30,000 USD worth of ETH, BTC, or others. If you don’t have collateral, you dont have DeFi; kinda lame. But, if you had built up a strong credit history on the blockchain, you could secure microloans (maybe even the full loan) using your DID that litenty has aggregated for you. Enter a new paradigm for DeFi in the world.
*DAO Participation: It seems almost every token these days offers decentralized autonomous participation to its holders. That’s pretty cool, and analogous to shareholders in the stock market. In the "real world", financial reporting allows us to understand share distribution with reporting and compliance of large shareholders. And in blockchain tokens, we have that too, and even better. We can follow in real time the movement of tokens with every address that sends and receives the asset, if you knew Warren Buffett’s blockchain address, you could see when he acquired ETH, or when he sold it. But what if he held billions of ETHs spread out over thousands of addresses, he owned? Suddenly what seemed decentralized is no more, and ETH (or Token “X”) is a centralized organization. If you could assign unique identities to each holder voting and participation would be even more fair and decentralized this way.
*KYC: Lastly, if you are going to run through a process of KYC with every new customer or with returning customers (log-ins) it would be quite easy to have an identity at hand to sign on/in.
I´m Buying (Technicals)
As you can see, we are in a pretty large range, excluding the local top of February, the horizontal price movement seems to be bound from 7.90$ to 12.50$ +- some cents. I like horizontal movements given that they often suggest some large accumulation (the bigger the accumulation the stronger the move to the upside and downside). A very weak trend has been established, its almost not noteworthy but its something to keep in mind just in case. I have bought small amount at 8.70 and intend to buy larger amounts near the POC. Its hard to snipe an entry with such a volatile asset, but if I were to call a sniping entry it would be at 7.97$ (+-0.02). Dollar-cost averaging this entry is key and expect a slightly larger holding period for bigger returns. However, the market in ETH is super-hot, and litentry hasn’t really followed the pace, it has a positive correlation (.43) to it so I can only hope it will catch up.
Good trading,
Matthias M.W
If you want techincals its in the section below.
Ive been eyeing up litentry ($LIT) for the last month or two; it’s an innovative project backed with a strong team, solid fundamentals, and a realistic use case (if executed properly). For the time being, it is a speculative investment, given that the core product has yet to be launched and utilized by the general public. Feel free to jump into any section, perhaps this rant isn’t worth the time. Nonetheless, ill briefly explain the purpose of the project:
What does it do? (Fundamentals)
Litentry aims to aggregate data to identify unique users within multiple blockchains (read; interoperability) and facilitate multiple functions/features that previously were difficult to achieve in DApps. For example, suppose litentry manages to create unique IDs for people like you and I, and with these newly established blockchain identities we can undertake a new set of actions. A list of the common hypothetical actions include.
*Personal Credit Scores: In the "real world", individuals acquire loans and credit through a system of scores and ratings (FICO, AAA, BB-). These scores are assigned by credit institutions like moodys, equifax, and fitch which ultimately designate your credit worthiness (how much you can borrow and/or at what interest rate). The system is based mostly on historical data; if you default on debt a lot, you lose the privilage of credit, but if you pay promptly youre allowed a bigger loan and/or at a lower interest rate. On the other hand, the "DeFI world" attempts to offer banking services to everyone, without exlclusivity, bias, or censorship, and right now, its limited by its collateralization ratios and requirements. If youre a small business owner in Nigeria and would like to expand you inventory by 10,000 USD via a personal/business credit utilizing the current DeFi services you would at least need to collateralize this loan with 20,000-30,000 USD worth of ETH, BTC, or others. If you don’t have collateral, you dont have DeFi; kinda lame. But, if you had built up a strong credit history on the blockchain, you could secure microloans (maybe even the full loan) using your DID that litenty has aggregated for you. Enter a new paradigm for DeFi in the world.
*DAO Participation: It seems almost every token these days offers decentralized autonomous participation to its holders. That’s pretty cool, and analogous to shareholders in the stock market. In the "real world", financial reporting allows us to understand share distribution with reporting and compliance of large shareholders. And in blockchain tokens, we have that too, and even better. We can follow in real time the movement of tokens with every address that sends and receives the asset, if you knew Warren Buffett’s blockchain address, you could see when he acquired ETH, or when he sold it. But what if he held billions of ETHs spread out over thousands of addresses, he owned? Suddenly what seemed decentralized is no more, and ETH (or Token “X”) is a centralized organization. If you could assign unique identities to each holder voting and participation would be even more fair and decentralized this way.
*KYC: Lastly, if you are going to run through a process of KYC with every new customer or with returning customers (log-ins) it would be quite easy to have an identity at hand to sign on/in.
I´m Buying (Technicals)
As you can see, we are in a pretty large range, excluding the local top of February, the horizontal price movement seems to be bound from 7.90$ to 12.50$ +- some cents. I like horizontal movements given that they often suggest some large accumulation (the bigger the accumulation the stronger the move to the upside and downside). A very weak trend has been established, its almost not noteworthy but its something to keep in mind just in case. I have bought small amount at 8.70 and intend to buy larger amounts near the POC. Its hard to snipe an entry with such a volatile asset, but if I were to call a sniping entry it would be at 7.97$ (+-0.02). Dollar-cost averaging this entry is key and expect a slightly larger holding period for bigger returns. However, the market in ETH is super-hot, and litentry hasn’t really followed the pace, it has a positive correlation (.43) to it so I can only hope it will catch up.
Good trading,
Matthias M.W